advances received from clients
This query is : Resolved
12 November 2009
if advances have been received from clients and no bills have been raised yet. How can they be adjusted if the bills are not to be raised. Is this a correct practice by a company?
shakuntala chhangani
(Expert)
13 November 2009
Hi Preeti, it is very common to receive advances from clients. at the time of receiving advance, the following entry will be passed :
Cash/Bank A/c Dr.
To Advances from clients A/c
when the bills will be raised in future, these advances will get adjusted against outstanding balances of the clients and balance only will appear as debtors. If no bills are raised in future, then this amount becomes refundable to the clients. Thanks and regards,
CA Shakuntala Chhangani
Cash/Bank A/c Dr.
To Advances from clients A/c
when the bills will be raised in future, these advances will get adjusted against outstanding balances of the clients and balance only will appear as debtors. If no bills are raised in future, then this amount becomes refundable to the clients. Thanks and regards,
CA Shakuntala Chhangani
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Unable to File TDS Q2 Return – New TRACES Portal Error
- EPF ECR NEW RULES Sep 17th 2026
- Transfer of Physical Stock Between Two Proprietorship Concerns
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Taxation of crypto futures in India Fy 2026- 2027
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- Issuing of delivery challan by seller of goods
- Nursery business
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- Tax on Amount transferred in HUF Account
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
